Does your spouse have access to a Registered Retirement Saving Plan (RRSP) or a pension?

If they don't you may want to look at a Spousal RRSP through the Capital Group RRSP. The reasoning is pretty simple -- generally speaking, if you have one half of a couple at retirement who has a high income (pension plus RRSP), and one who has a very low income (no pension, limited RRSP), you'll generally pay a lot more tax than two people with about the same level of income.

The Spousal Registered Retirement Savings Plan is one of the few options available for income splitting in retirement.

How it works:

You start a Spousal RRSP as part of your Capital Group RRSP

You pay into the Spousal RRSP and get the tax deduction

Your spouse owns the RRSP

When you retire, you draw on your pension, and your spouse draws on their RRSP. Because you have equal income, you essentially get double the tax deductions!

Just like your own RRSP contribution, the money in a Spousal Registered Retirement Savings Plan grows tax-deferred -- so you don't have to pay taxes on the growth until you take it out.

Just like the Capital Group RRSP, the Spousal RRSP has access to the same incredible list of investment options, has no transaction fees, and can be contributed to via payroll deduction. And yes, your spouse can still contribute to the plan on their own too!